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MetaStock Trading System - Combining Trend and Oscillator Signals

rev. 01/06/97

The information for this test was published in the December 1996 issue of Technical Analysis of Stocks and Commodities. The test appears in the article "Combining Trend and Oscillator Signals" by Jeremy G. Konstenius. Mr. Konstenius describes a trading system that combines Linear Regression and Moving averages to generate trades.

To create this test in MetaStock do the following:

  • Run MetaStock version 6.0 or higher.
  • Click Tools | System Tester | New.
  • Type a name for the test in the Name column.
  • Enter the following System Test rules and options.
ENTER LONG:
C>Mov(C,OPT1,S) AND LinRegSlope(C,OPT2)>LinearReg(LinRegSlope(C ,OPT3),50)

CLOSE LONG:
C<Mov(C,OPT1,S) OR LinRegSlope(C,OPT2)<LinearReg(LinRegSlope(C ,OPT3),50)

ENTER SHORT:
C<Mov(C,OPT1,S) AND LinRegSlope(C,OPT2)<LinearReg(LinRegSlope(C ,OPT3),50)

CLOSE SHORT:
C>Mov(C,OPT1,S) OR LinRegSlope(C,OPT2)>LinearReg(LinRegSlope(C ,OPT3),50)
  • OPTIMIZE:
    OPT1: Minimum 5 Maximum 50 Step 5
    OPT2: Minimum 5 Maximum 50 Step 5
    OPT3: Minimum 5 Maximum 50 Step 5
  • Initial Equity: Any amount.
  • Positions: Long and Short
  • Trade Price: Close
  • Trade delay: 0

The author uses weekly data and a $50 round turn commission. You can modify this test by changing the distance from Minimum to Maximum or the Step used in each OPT variable.

For information about the test contact Jeremy G. Konstenius at jkonsten@sprynet.com and http://home.sprynet.com/sprynet/konsten

  

  

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